Ion Exchange (500214) Q1 25/26 earnings summary

Executive summary

• Consolidated operating income for Q1 FY26 was INR 5,832 million, up 2.7% year-on-year, with net profit rising 8% to INR 484 million and a PAT margin of 8.3%.

• Unaudited standalone and consolidated financial results for the quarter ended June 30, 2025, were approved by the Board and reviewed by independent auditors with no material misstatements.

• Pioneer in water, wastewater treatment, and environment solutions with global presence and diversified product portfolio.

• Operates 7 manufacturing and assembly facilities in India and several abroad, serving industrial, institutional, and consumer clients.

• FY25 consolidated revenue mix: Engineering 61%, Chemicals 29%, Consumer Products 10%.

Financial highlights

• Q1 FY26 consolidated EBITDA was INR 627 million, down 2.2% year-on-year; EBITDA margin at 10.75%.

• Diluted EPS for Q1 FY26 at INR 4.108, up 8.3% year-on-year.

• Standalone revenue from operations was ₹51,783 lacs, up slightly year-over-year; consolidated revenue was ₹58,319 lacs, up from ₹56,757 lacs.

• Standalone profit after tax was ₹4,688 lacs; consolidated profit after tax was ₹4,844 lacs, both up year-over-year.

• Sequentially, operating income declined 30.1% and net profit declined 20.1% from Q4 FY25.

Outlook and guidance

• Greenfield resin manufacturing plant at Roha on track for commissioning in Q2 FY26, expected to drive export and domestic growth.

• No major change in outlook versus previous quarter; full-year guidance to be updated after Q2.

• Operations stabilized after SAP migration, which had temporarily affected business volumes.

• Management does not envisage any liability regarding the ongoing SEBI matter with the subsidiary IEEFL.